BN66 - Time to fight back!!!

[DonkeyRhubarb]

Time

It seems likely now that the case is going to drag on for several years, which gives us time to make contingency plans.

Those who intend to settle if we lose will have time to save up, perhaps even invest a bit of money, or simply stash as much as you can into a CTD. The secret is to try and keep on top of the interest so the liability doesn't get any bigger.

I know quite a few people who intend to leave the country, which obviously takes time to organise. If you start making the arrangements now you will be gone long before any sh*t hits the fan.

If you intend to go down the bankruptcy route then you have got time to dispose of assets, make a few trips to the casino etc. Why not live it up a bit at Hector's expense and have some fun? Take time off and travel round the world.

I think you get the gist. Make the most of this time.

PS. I know it's a bit morbid but a few of us may be dead by the time this gets resolved!

[smalldog]

It seems likely now that the case is going to drag on for several years, which gives us time to make contingency plans.

Those who intend to settle if we lose will have time to save up, perhaps even invest a bit of money, or simply stash as much as you can into a CTD. The secret is to try and keep on top of the interest so the liability doesn't get any bigger.

I know quite a few people who intend to leave the country, which obviously takes time to organise. If you start making the arrangements now you will be gone long before any sh*t hits the fan.

If you intend to go down the bankruptcy route then you have got time to dispose of assets, make a few trips to the casino etc. Why not live it up a bit at Hector's expense and have some fun? Take time off and travel round the world.

I think you get the gist. Make the most of this time.

PS. I know it's a bit morbid but a few of us may be dead by the time this gets resolved!

Ive always wanted to live abroad and this might be the catalyst, otherwise it will be one of those things I intended to do but never got round too. If the UK continues to spiral downwards as IMHO it is, and the government continues to try to bleed us all dry to fund unsustainable services, increase taxes year on year etc then I really wont want to be living here in 2010 anyway, regardless of this mess....Then again we might have a change in government by then (I HOPE!) Im sick and tired of spongers bleeding this country dry....thinking they are owed a living. Ive worked bloody hard for what I have and will be damned if its gonna all get taken away from me to be handed out in benefits to someone who sits on their ass all day long smoking L&B, watching government subsidised Sky TV and spending the last of their dole money on scratch cards

Thats my rant over for the day! :-)

[TheGadgetMan]

It seems likely now that the case is going to drag on for several years, which gives us time to make contingency plans.

Those who intend to settle if we lose will have time to save up, perhaps even invest a bit of money, or simply stash as much as you can into a CTD. The secret is to try and keep on top of the interest so the liability doesn't get any bigger.

I know quite a few people who intend to leave the country, which obviously takes time to organise. If you start making the arrangements now you will be gone long before any sh*t hits the fan.

If you intend to go down the bankruptcy route then you have got time to dispose of assets, make a few trips to the casino etc. Why not live it up a bit at Hector's expense and have some fun? Take time off and travel round the world.

I think you get the gist. Make the most of this time.

PS. I know it's a bit morbid but a few of us may be dead by the time this gets resolved!

DR...thats a very interesting post...you are right in what you say...time is one of the things that we do have...and we should use it wisely...

however, if one chooses to go down the bankruptcy route, how does this work in the case of married couples?...if the potential tax liability is on me but I put the house and all other assets in my wife's name now...cant hector just ignore this in 2 years time (or however long it takes)...and just see thru the entire arrangement?

whats people's take on this?...remember, its been 5 years now since we first received enquiry letters from hector and BN66 has just been passed in the HoC - hector could look at the timing of this and argue that we deliberately went into bankruptcy to avoid the tax and go after your wife/house anyway...

[DonkeyRhubarb]

DR...thats a very interesting post...you are right in what you say...time is one of the things that we do have...and we should use it wisely...

however, if one chooses to go down the bankruptcy route, how does this work in the case of married couples?...if the potential tax liability is on me but I put the house and all other assets in my wife's name now...cant hector just ignore this in 2 years time (or however long it takes)...and just see thru the entire arrangement?

whats people's take on this?...remember, its been 5 years now since we first received enquiry letters from hector and BN66 has just been passed in the HoC - hector could look at the timing of this and argue that we deliberately went into bankruptcy to avoid the tax and go after your wife/house anyway...

I've been thinking along the same lines. I even asked MTM but haven't had a response yet. I reckon HMRC would go after your wife but I'm not sure about the legal position. I did consult MTM a few years ago about what would happen if a scheme member died, and they said the Revenue would go after the beneficiaries of the estate, so the same may apply if you gift everything to your wife. You may be in a stronger position if you have a partner but you are not married.

Divorce may get around it but that's a really drastic step to take, although for £140k...

What we really need now is a new avoidance scheme for avoiding the liabilities of the old scheme.

[smalldog]

DR...thats a very interesting post...you are right in what you say...time is one of the things that we do have...and we should use it wisely...

however, if one chooses to go down the bankruptcy route, how does this work in the case of married couples?...if the potential tax liability is on me but I put the house and all other assets in my wife's name now...cant hector just ignore this in 2 years time (or however long it takes)...and just see thru the entire arrangement?

whats people's take on this?...remember, its been 5 years now since we first received enquiry letters from hector and BN66 has just been passed in the HoC - hector could look at the timing of this and argue that we deliberately went into bankruptcy to avoid the tax and go after your wife/house anyway...

but you could then also argue that any actions you have taken since 2002 (since you started getting letters) the same applies. Dont think its plausible to critique your life for what would then be 8 years and put any actions on hold that maybe deemed evassive in the future.

[DonkeyRhubarb]

but you could then also argue that any actions you have taken since 2002 (since you started getting letters) the same applies. Dont think its plausible to critique your life for what would then be 8 years and put any actions on hold that maybe deemed evassive in the future.

Here's an interesting one. If you are over 50, you could liquidate all your assets and purchase an annuity. HMRC could make you pay back some of the income every month but I don't see how they could touch the capital which you have surrendered to the life company. You could even stay in your house if you remortgaged it up to the hilt since there'd be no point in them reposessing it.

I know most of these ideas are academic but we have got time to do a bit of creative accounting.

[helen7]

so which countries could HMRC chase you too?

[smalldog]

Here's an interesting one. If you are over 50, you could liquidate all your assets and purchase an annuity. HMRC could make you pay back some of the income every month but I don't see how they could touch the capital which you have surrendered to the life company. You could even stay in your house if you remortgaged it up to the hilt since there'd be no point in them reposessing it.

I know most of these ideas are academic but we have got time to do a bit of creative accounting.

Well there is a totally legitimate way of protecting your home. Write in into trust as being owned by your Ltd company, move out and let it. Then you rent something else and live there. The rent you get for your place pays your mortgage, the rent you pay is just the same as you were paying on your mortgage. So....you have an asset which gets capital growth, isnt owned by you personally its owned by your Ltd so is out of range of HMRC for personal liability. Couple of years later, you decide to sell it at which point all the proceeds go into the Ltd company bank account as its a trust asset. You take a nice big divi and pay CT on the proceeds....

Job done!

[ASB]

Well there is a totally legitimate way of protecting your home. Write in into trust as being owned by your Ltd company, move out and let it. Then you rent something else and live there. The rent you get for your place pays your mortgage, the rent you pay is just the same as you were paying on your mortgage. So....you have an asset which gets capital growth, isnt owned by you personally its owned by your Ltd so is out of range of HMRC for personal liability. Couple of years later, you decide to sell it at which point all the proceeds go into the Ltd company bank account as its a trust asset. You take a nice big divi and pay CT on the proceeds....

Job done!

But you do still have an asset. That being the shareholding in the LTD. HMRC still has plenty of lines of attack for settlement.

[BrilloPad]

so which countries could HMRC chase you too?

to

I am sure Mal said HMRC have an office in Oz. No doubt Mr Brannigan will be silent on this one!

I expect anything in Europe is off limits too? USA? Canada(thread about tis yesterday)?

I wish Mal was here - I am sure he knows - maybe if we start a sperate thread and dont mention BN66 he will reply?